Microsoft has confirmed two Xbox related rumours that have been floating around the web. And it's a mix of good news and bad news.

We'll hit you with the bad news first - Microsoft's motion camera system Kinect is going to be as expensive as we feared. £129.99 - but you do get Kinect Adventures thrown in.

Now the good news - the rumoured 4GB Xbox 360 Slim has become a reality and will cost you £149.99, or £249.99 with the Kinect package included - meaning you'd save almost £30 if you get the two together.

The 4GB console hits the shops on 20 August although the exact date for the UK Kinect launch is still to be confirmed. We're expecting a US launch on 4 November.

Check out our guide for everything that you need to know about Kinect.

In other Xbox 360 news, the console was the best selling in the EMEAA region according to the Vgchartz charts, for the week ending 17 July. And with the launch of the Xbox 360 S and the Xbox 360 4GB, Microsoft's lead of Sony's PS3 is surely set to rise.

Or, with 3D gaming up Sony's sleeve, will the PS3 make a comeback?

Give us your thoughts on all things console using the comments below.